Yahoo Finance With 46% ownership, TASK Group Holdings Limited (ASX:TSK) insiders have a lot at stake
Key Insights
Significant insider control over TASK Group Holdings implies vested interests in company growth
A total of 5 investors have a majority stake in the company with 52% ownership
Past performance of a company along with ownership data serve to give a strong idea about prospects for a business
Every investor in TASK Group Holdings Limited (ASX:TSK) should be aware of the most powerful shareholder groups. The group holding the most number of shares in the company, around 46% to be precise, is individual insiders. That is, the group stands to benefit the most if the stock rises (or lose the most if there is a downturn).
So it follows, every decision made by insiders of TASK Group Holdings regarding the company's future would be crucial to them.
Let's delve deeper into each type of owner of TASK Group Holdings, beginning with the chart below.
View our latest analysis for TASK Group Holdings
What Does The Institutional Ownership Tell Us About TASK Group Holdings?
Many institutions measure their performance against an index that approximates the local market. So they usually pay more attention to companies that are included in major indices.
As you can see, institutional investors have a fair amount of stake in TASK Group Holdings. This implies the analysts working for those institutions have looked at the stock and they like it. But just like anyone else, they could be wrong. If multiple institutions change their view on a stock at the same time, you could see the share price drop fast. It's therefore worth looking at TASK Group Holdings' earnings history below. Of course, the future is what really matters.
Hedge funds don't have many shares in TASK Group Holdings. The company's largest shareholder is Kym Houden, with ownership of 17%. With 17% and 6.4% of the shares outstanding respectively, Jennifer Houden and Scobie Ward are the second and third largest shareholders.
On looking further, we found that 52% of the shares are owned by the top 5 shareholders. In other words, these shareholders have a meaningful say in the decisions of the company.
Researching institutional ownership is a good way to gauge and filter a stock's expected performance. The same can be achieved by studying analyst sentiments. There is a little analyst coverage of the stock, but not much. So there is room for it to gain more coverage.
Insider Ownership Of TASK Group Holdings
The definition of an insider can differ slightly between different countries, but members of the board of directors always count. Management ultimately answers to the board. However, it is not uncommon for managers to be executive board members, especially if they are a founder or the CEO.
I generally consider insider ownership to be a good thing. However, on some occasions it makes it more difficult for other shareholders to hold the board accountable for decisions.
Our information suggests that insiders maintain a significant holding in TASK Group Holdings Limited. Insiders own AU$136m worth of shares in the AU$296m company. We would say this shows alignment with shareholders, but it is worth noting that the company is still quite small; some insiders may have founded the business. You can click here to see if those insiders have been buying or selling.
General Public Ownership
The general public-- including retail investors -- own 38% stake in the company, and hence can't easily be ignored. While this group can't necessarily call the shots, it can certainly have a real influence on how the company is run.
Public Company Ownership
Public companies currently own 5.7% of TASK Group Holdings stock. It's hard to say for sure but this suggests they have entwined business interests. This might be a strategic stake, so it's worth watching this space for changes in ownership.
Next Steps:
It's always worth thinking about the different groups who own shares in a company. But to understand TASK Group Holdings better, we need to consider many other factors. For example, we've discovered 1 warning sign for TASK Group Holdings that you should be aware of before investing here.
If you would prefer discover what analysts are predicting in terms of future growth, do not miss this free report on analyst forecasts.
NB: Figures in this article are calculated using data from the last twelve months, which refer to the 12-month period ending on the last date of the month the financial statement is dated. This may not be consistent with full year annual report figures.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
